The Australian Securities and Investments Commission (ASIC) has been granted interim orders by the Federal Court to freeze the assets of the Shield Master Fund.
Shield is a registered managed fund whose responsible entity is Keystone Asset Management Ltd.
ASIC has sought orders to help protect investors’ funds while the investigation continues.
Judge O’Callaghan ordered Keystone banned from:
- removal of property from Australia,
- sale, charge, mortgage, transaction or disposition of property;
- taking on new obligations, or
- withdraw, transfer, dispose of or manage money in bank accounts or a financial institution (with limited exceptions);
The Court ordered Paul Chiodo to surrender his passport and be banned from Australia. ASIC sought these orders to ensure that Mr Chiodo, as a former director of Keystone, remains in Australia while ASIC continues its investigation.
As the hearing was held in their absence, Keystone and Mr Chiodo have not yet had the opportunity to respond to ASIC’s application.
A further court hearing is scheduled to take place on Tuesday, June 25, 2024.
This action follows previous action taken by ASIC in February 2024 to stop new investment offers in Shield. ASIC made interim stop orders on four product disclosures for Shield.